Retirement Planning: How to avoid retirement funds falling short of expectations

financialexpress.com:

Retirement is a phase in our life that many of us look forward to with great expectations. It’s the time when we hope to enjoy the fruits of our hard work. Most of us want to travel, pursue hobbies, and spend quality time. However, it becomes challenging when our retirement funds fall short of our expectations. With rising living costs, it is crucial to find solutions for a financially-safe retirement.

There are several reasons why retirement funds may fall short of our expectations. One reason is that inflation can erode the value of savings over time. Another reason is health and other financial emergencies that can stretch our retirement savings even further. If your retirement funds are falling short, here are some steps you can take to improve your financial situation.

The sooner you start saving for retirement, the more time your investments have to grow. It’s essential to set aside a significant portion of your income for retirement savings. Utilize tax-advantaged accounts like the Employees’ Provident Fund (EPF), Public Provident Fund (PPF), or the National Pension System (NPS) to maximize your savings.

Adhil Shetty, CEO, Bankbazaar.com, says, “Early investment can help in multiple ways. Beginning early gives you the flexibility to make smaller contributions over a more extended period, reducing the financial burden compared to trying to catch up later in life.”

Also Read: How to grow your PF money to meet your retirement goal

Your investment must align your financial goals, including your retirement. When you invest your money, you are putting it to work for you. Over time, your investments should grow in value, which can help you reach your retirement goals.

Relying solely on traditional savings accounts or